by Don Reisinger
October 7, 2008 7:11 AM PDT

ProPay, a company that specializes in credit card processing and electronic payment services for businesses, has announced prices for eBay users. The information was released Tuesday, ahead of ProPay's launch as an alternative payment option on the auction site later this month.

As eBay announced in August, it will soon take only electronic payments. Part of that plan includes bringing on an additional electronic payment service to compete with eBay subsidiary PayPal and thus ease concerns over eBay's total control over payment processing. Aside from accepting credit cards, eBay's solution involves giving sellers the option of using ProPay's service.

ProPay was quick to point out that it doesn't want to be considered a full-fledged PayPal competitor and instead wants to position itself as a company that caters to power sellers who plan to accept credit cards. That may be a good idea considering that sellers will be required to pay monthly fees on top of transaction costs--something most PayPal users aren't required to do.

For eBay Silver power sellers and higher, ProPay unveiled its eAuction account, which will be available once ProPay goes live on eBay. It will carry a $24 annual fee or a $2 monthly charge, but the company is offering a $24 credit for sellers who process $3,000 or more with ProPay during their first six months using the service. The plan will carry transaction fees, but ProPay wouldn't reveal those figures.